(1) (10 points) Graphically explain why the firm’s short-run supply curve is simply the SMC curve. Hint: Explain why the

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answerhappygod
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(1) (10 points) Graphically explain why the firm’s short-run supply curve is simply the SMC curve. Hint: Explain why the

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(1) (10 points) Graphically explain why the firm’s short-run
supply curve is simply the SMC curve. Hint: Explain why the output
level satisfying the first-order condition is an equilibrium.
(2) (5 points) Mark the area of total revenue, total variable
cost, fixed cost and short-run profit on the diagram.
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